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US consumer prices drop more than forecast in March

US consumer prices drop more than forecast in March

Consumer prices in the United States dropped more than forecasts in March on lower demand for goods and services due the outbreak of Covid-19, Labor Department data showed on Wednesday day.

The consumer price index (CPI) saw a 0.4 percent fall in March, following a 0.1 percent surge in February, while analysts had predicted a 0.3 percent drop. The year-on-year reading decelerated to 1.5 percent from a previous of 2.3 percent.   

Core CPI- excluding volatile food and energy prices- showed a 0.1 percent slide, compared to February’s reading of 0.2 percent rise.

Last month, the lower demand on some goods and services outweighed a price soars associated with supply disruptions after the spread of the coronavirus.

Meanwhile, there are 468,895 coronavirus infected cases, while the deaths toll reached 16,697,

The dollar index traded slightly lower at 99.44, extending its drop after the previous session’s loss, as the Federal Reserve rolled out a $2.3-trillion stimulus package.

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